Brief

The City Attorney initiated a services agreement with law firm Susman Godfrey LLP to handle potential litigation on behalf of the city. The agreement was referred to Budget and Finance Committee in late March, approved by that committee on April 13, and adopted by City Council on April 22, 2026, by a vote of 11-1-3. The file is now closed following mayoral action.

Full summary

On March 25, 2026, the City Attorney submitted a request to retain the law firm Susman Godfrey LLP to assist with potential litigation that the City is deciding whether to initiate. A key feature of the arrangement is that legal services would be provided on a contingency fee basis, meaning the firm is paid only if the City prevails or settles — at no upfront cost to the City. The specific subject matter of the potential claims was not disclosed in public-facing documents; the Budget and Finance Committee was authorized under state open-meeting law to recess to closed session to discuss the details of the potential claims with legal counsel. The City Attorney report recommended two actions: authorizing the City Attorney to formally retain Susman Godfrey LLP on the contingency basis described, and authorizing the City Attorney or a designee to prepare any necessary technical accounting instructions for the Controller, subject to City Administrative Officer approval. No formal fiscal impact statement was submitted, and neither the CAO nor the Chief Legislative Analyst completed a financial analysis before the committee vote. The Budget and Finance Committee took up the matter at a special meeting on April 13, 2026, approving both recommendations in open session by a 4-0 vote, with one member absent. The committee forwarded the item to the full Council, which adopted it on April 22, 2026, by a vote of 11-1-3, subject to reconsideration under Council Rule 51. The file was transmitted to the Mayor on April 24, and Council action became final on May 4, 2026, when the mayoral review period closed. The file is now closed.

Activity (8)

• 2026-05-04 Council action final.
• 2026-04-24 City Clerk transmitted file to Mayor. Last day for Mayor to act is May 4, 2026.
• 2026-04-22 Council adopted item, subject to reconsideration, pursuant to Council Rule 51.
• 2026-04-17 City Clerk scheduled item for Council on April 22, 2026.
• 2026-04-13 Budget and Finance Committee approved the item in Open Session.
• 2026-04-10 Budget and Finance Committee scheduled item for committee meeting on April 13, 2026.
• 2026-03-26 City Attorney document(s) referred to Budget and Finance Committee.
• 2026-03-25 Document submitted by City Attorney, dated March 25, 2026.

Documents (3)

• 2026-05-04 Mayor Concurrence/Council Action · other
• 2026-04-13 Report from Budget and Finance Committee · report
• 2026-03-25 Report from City Attorney · report